The Expenditure Finance Committee has approved the proposal and it will be placed before the Cabinet for final sanction. The second edition of the India Semiconductor Mission was announced in the Union Budget for 2026-27 with the objective of promoting a comprehensive chip manufacturing ecosystem covering machinery, inputs and intellectual property. Officials view ISM two point zero as a signal of sustained commitment to build domestic capability and attract ecosystem partners.
Union Minister for Electronics and IT Ashwini Vaishnaw has indicated that ISM two point zero will prioritise indigenous chip design, productisation, partner attraction and talent development. To date, 12 semiconductor manufacturing projects have been approved with an investment pipeline of about Rs one point six four trillion (tn), including one fabrication unit, two compound semiconductor fabrication units and nine packaging units. On the design front, 24 projects are supported under the Design Linked Incentive Scheme, 105 companies have been assisted with advanced chip design tools and 23 design tapeouts have been completed at various foundries.
A senior official in the IT Ministry said two of the approved projects have entered commercial manufacture earlier this year and that another facility was expected to be inaugurated soon, with further projects anticipated before the end of the calendar year. The official characterised the developments as the realisation of a long-held national objective to establish commercial semiconductor manufacturing in India. Observers note that the country is strengthening its position in the global technology landscape and in standards discussions.